Dacorum have recently launched the consultation draft Interim Affordable Housing SPD for consultation, this is available to comment on until early January 2025.
The SPD supports the current Affordable Housing Policy CS19. More detail can be found here on this policy; however, the main points are summarised below:
- 35%of new dwellings to be affordable (unit threshold dependant on location).
- 100% affordable housing on rural sites.
The draft SPD proposes the following changes:
Affordable housing will now be required on all sites of 10+dwellings, a development area of 0.5Ha or more, or a proposed floorspace of 1,000m2 or more.
The introduction of a floorspace based provision is the main change that can be taken in this instance.
Also, schemes of 6-9 homes in the Chiltern National Landscape will be subject to provide 35%.
All of the above instances will be expected to provide the affordable housing on-site; however, where justified through a viability submission, off-site and financial contributions can be negotiated.
There will also be noticeable changes to the expected tenure mix of the AH provided.
Previously, at least 75% was to be for rent within the Borough. However, based on new Government guidance, at least 56% is to be for rent, with no more than 44% to be affordable home ownership.
The suggested home ownership is then to be split as follows: 25% first homes, up to 19% shared ownership or rent to buy.
Again, this will be subject to viability.
The SPD also highlights the use of review mechanisms and how they will now be sought; however, there is no mention of this within the current Core Strategy, so there are policy arguments that no review should besought unless voluntarily offered.
Ultimately, the biggest impact to smaller scheme viability will be the introduction of affordable housing requirements on developments proposing 1,000m2 or more in floorspace, with the largest issues caused for schemes of 7-9 dwellings with substantial floorspace or those on plots larger than 0.5Ha. We suggest getting in touch if your scheme falls into any of the thresholds to see if we can help.
We note that this SPD is to be updated as and when the new Local Plan is adopted; although this is only at consultation stage itself at present; however it is indicative of a direction of travel for the authority.